IDFC Infrastructure Equity Fund NFO (your views)

POSTED BY Jagoinvestor ON February 12, 2011 12:14 pm COMMENTS (3)

IDFC is coming up with a NFO of an Infrastructure Fund, which they feel will provide good retunrs in next 5 yrs time frame .

 

Do you feel its a good time to invest in Infrastructure Fund (NFO) ? Give your views

3 replies on this article “IDFC Infrastructure Equity Fund NFO (your views)”

  1. Priya Singhani says:

    I think it is a lot easier to let the experts handle the buying and selling of stocks rather than you yourself spending time on it. IDFC has a very strong fund manager who is also handling several other products of IDFC. As per their press release, they would target companies whose current Return on Capital Employed is greater than their Weighted Average Cost of Capital. There is a possibility and scenario of rising credit costs, slow growth in order book and low margins consolidation will dominate the theme for some year’s to follow. By the year’s five to ten the companies would be strong enough to generate good results and the investors are likely to start getting good returns. Thus, it seems like a very good choice of investment!

  2. Rajendran says:

    When infrastructure Equity Funds are readily available why do one need to think of investing in IDFC NFO????? do they have anything interesting theme in their scheme!!!!!

    1. A Sector Fund is a strict no-no, especially if you are investing in Lumpsum.
      One bad policy decision, and lo, the entire sector looks down and out and you will be left holding a drowning boat.
      Go for Diversified Funds as there is nothing that prevents a Fund Manager in investing in Infrastructure sector if he finds the sector attractively valued.

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